Finance Folks

hukarez · 01-19-2005, 10:11 AM

Anyone happen to understand these Credit Score ratings? I'm planning on taking advantage of the Free Credit Report thing the government thing (https://www.annualcreditreport.com) that's going on right now, and I'm told it comes out to some kind of 3 digit number.

I'm assuming 'higher is better', but thought I'd ask to see if anyone else was more knowledgeable when it comes to these things...

damnMikeBrown · 01-19-2005, 10:15 AM

That's something I have never learned. . .if you find a good resource, let me know.

CamEdwards · 01-19-2005, 10:16 AM

i think the average credit score is somewhere in the 600's, but don't quote me on that.

digamma · 01-19-2005, 10:16 AM

I think that the general rule is that above 680 or so, you are considered a prime lendee and shouldn't have any problem getting a home or car loan (assuming your loan amount and income, etc. are in line). Below 550 or so, you're going to have trouble getting any kind of loan. Between 550 and 680, you may face increased interest rates, but you can get decent credit.

CamEdwards · 01-19-2005, 10:17 AM

dola, from moneycentral on msn.

Quote:

For the uninitiated, credit scores are three-digit numbers increasingly used by lenders when evaluating your creditworthiness. Insurers, employers and landlords also use the scores in evaluating the applications they get. Scores range from 300 to 850. Only about 11% of the surveyed population ranks above 800; 29% ranks between 750 and 799. Those with scores below 620 or so are credit-challenged, typically paying much higher rates.

Radii · 01-19-2005, 10:28 AM

If you want a lot of detail in an easy to read fashion:

http://www.fool.com/ccc/check/check.htm?source=LN

click on the first article about credit karma and go from there.

albionmoonlight · 01-19-2005, 10:37 AM

There are some variations, too. My friends dad worked at a bank, and he says that his bank gave very little credibility to reports of non-payment made by hosptials because those are almost always a function of insurance disputes.

In other words, some lenders may look at the things that are actually bringing your credit scores down and adjust accordingly.

hukarez · 01-19-2005, 11:54 AM

Quote:

Originally Posted by Radii

If you want a lot of detail in an easy to read fashion:

http://www.fool.com/ccc/check/check.htm?source=LN

click on the first article about credit karma and go from there.

Hey, this link is pretty sweet. That "What's your Credit Karma?" article seemed to explain things as simple as possible. I figured there were different variations that were taken into account - and since I've been paying my car loan on time for 3 years, I would hope to have a decent score.

I asked my buddy about this, when he and his siblings pitched in and applied for a home loan. Apparently, from what he told me (this is in regards to Washington Mutual), anything over 700 was considered acceptable. I guess I'll cross my fingers for something over that number then...

EDIT: I'm doing this more specifically to satiate my curiousity. I've never had a 'Credit Report' done, and if I did in the past - I didn't realize a number was associated with it. In any case, hopefully it won't take too long to figure out what my present credit score is - I'm just hoping not to be disappointed or something.

On a side note - and I don't want to get too mathematical (sp?) here, I'm still trying to figure out about APR rates. When it comes to Economics...well. It's a class I fell asleep in. :o

Franklinnoble · 01-19-2005, 12:00 PM

I use myfico.com to track my credit score. It costs money, but I can check as often as I want, and it doesn't count as an inqiriry.

hukarez · 01-19-2005, 12:09 PM

I've perhaps missed the obvious here, but I'm assuming this Credit Score is the same number shared for Experian, EquiFax, and Trans-Union? So essentially, if I were to have an inquiry done with Experian, that would end up being the same result as if I went through EquiFax or Trans-Union?

Franklinnoble · 01-19-2005, 12:24 PM

Nope. All three scores are different.

Some lenders only look at one or the other, but, in my experience, mortgage banks and such look at all three.

My scores for all three vary greatly... by as much as 50 points.

hukarez · 01-19-2005, 12:40 PM

Wow...50 points sure can make a difference. I guess the type of loan that I would be applying for would take into consideration the little nuances - such as a car loan over a home loan, etc...

Franklinnoble · 01-19-2005, 12:44 PM

Quote:

Originally Posted by hukarez

Wow...50 points sure can make a difference. I guess the type of loan that I would be applying for would take into consideration the little nuances - such as a car loan over a home loan, etc...

Yep. I figured out a long time ago that ignorance is a lot more expensive than what it costs to stay on top of those scores.

Radii · 01-19-2005, 02:09 PM

My scores are drastically different as well, it's annoying. It seems that my auto loan company and my main credit card were only reporting to 2 of the 3 places, so on the 3rd I have a very limited credit history.

I think I may also suffer a little b/c of my name.

Richard A Dixon II

I get shit for Dixson, Dickson, Richard Dixon JR, and I am convinced that has caused some missed reporting here and there.

I never did get my car loan fixed from Dixson. I just got my bank of america card changed from Jr to the II last month when I changed my address. I'm not certain that's why, but it's a hunch.

From what I understand, credit card companies often just pull one report when chekcing credit. Something bigger like a house will generally pull all 3 and use the middle score.

I have been turned down for credit cards in the last two years despite high 600s credit scores on 2 out of the 3, but I get solid rates on car loans and the couple of times i've done some preliminary house looking, I get reports of having great credit when they look... it's weird.

Franklinnoble · 01-19-2005, 03:09 PM

Quote:

Originally Posted by Radii

My scores are drastically different as well, it's annoying. It seems that my auto loan company and my main credit card were only reporting to 2 of the 3 places, so on the 3rd I have a very limited credit history.

I think I may also suffer a little b/c of my name.

Richard A Dixon II

I get shit for Dixson, Dickson, Richard Dixon JR, and I am convinced that has caused some missed reporting here and there.

I never did get my car loan fixed from Dixson. I just got my bank of america card changed from Jr to the II last month when I changed my address. I'm not certain that's why, but it's a hunch.

From what I understand, credit card companies often just pull one report when chekcing credit. Something bigger like a house will generally pull all 3 and use the middle score.

I have been turned down for credit cards in the last two years despite high 600s credit scores on 2 out of the 3, but I get solid rates on car loans and the couple of times i've done some preliminary house looking, I get reports of having great credit when they look... it's weird.

Sorry... I can't NOT comment on the fact that your name is "Dick Dixon."

The second.

That's just gold.

01-19-2005, 10:16 AM	#3
CamEdwards Stadium Announcer Join Date: Mar 2002 Location: Burke, VA	i think the average credit score is somewhere in the 600's, but don't quote me on that. __________________ I don't want the world. I just want your half.

01-19-2005, 12:09 PM	#10
hukarez College Starter Join Date: Dec 2003 Location: Chula Vista, CA	I've perhaps missed the obvious here, but I'm assuming this Credit Score is the same number shared for Experian, EquiFax, and Trans-Union? So essentially, if I were to have an inquiry done with Experian, that would end up being the same result as if I went through EquiFax or Trans-Union? __________________ ...what we have here is a man who looks like Tarzan, but fights like Jane! My VG collection \| Xbox 360 Gamertag: ManThol \| PS3 Network ID: hukarez Doce Pares International - San Diego Council Filipino Martial Arts Digest tweet tweet twitter

01-19-2005, 12:40 PM	#12
hukarez College Starter Join Date: Dec 2003 Location: Chula Vista, CA	Wow...50 points sure can make a difference. I guess the type of loan that I would be applying for would take into consideration the little nuances - such as a car loan over a home loan, etc... __________________ ...what we have here is a man who looks like Tarzan, but fights like Jane! My VG collection \| Xbox 360 Gamertag: ManThol \| PS3 Network ID: hukarez Doce Pares International - San Diego Council Filipino Martial Arts Digest tweet tweet twitter

01-19-2005, 10:15 AM	#2
damnMikeBrown College Benchwarmer Join Date: Jan 2003 Location: Cincinnati, OH	That's something I have never learned. . .if you find a good resource, let me know.

01-19-2005, 10:16 AM	#4
digamma Torchbearer Join Date: Sep 2001 Location: On Lake Harriet	I think that the general rule is that above 680 or so, you are considered a prime lendee and shouldn't have any problem getting a home or car loan (assuming your loan amount and income, etc. are in line). Below 550 or so, you're going to have trouble getting any kind of loan. Between 550 and 680, you may face increased interest rates, but you can get decent credit.

01-19-2005, 10:28 AM	#6
Radii Head Coach Join Date: Jul 2001	If you want a lot of detail in an easy to read fashion: http://www.fool.com/ccc/check/check.htm?source=LN click on the first article about credit karma and go from there.

01-19-2005, 10:37 AM	#7
albionmoonlight Head Coach Join Date: Oct 2000 Location: North Carolina	There are some variations, too. My friends dad worked at a bank, and he says that his bank gave very little credibility to reports of non-payment made by hosptials because those are almost always a function of insurance disputes. In other words, some lenders may look at the things that are actually bringing your credit scores down and adjust accordingly.

01-19-2005, 12:00 PM	#9
Franklinnoble Banned Join Date: Jul 2002 Location: Placerville, CA	I use myfico.com to track my credit score. It costs money, but I can check as often as I want, and it doesn't count as an inqiriry.

01-19-2005, 12:24 PM	#11
Franklinnoble Banned Join Date: Jul 2002 Location: Placerville, CA	Nope. All three scores are different. Some lenders only look at one or the other, but, in my experience, mortgage banks and such look at all three. My scores for all three vary greatly... by as much as 50 points.

01-19-2005, 02:09 PM	#14
Radii Head Coach Join Date: Jul 2001	My scores are drastically different as well, it's annoying. It seems that my auto loan company and my main credit card were only reporting to 2 of the 3 places, so on the 3rd I have a very limited credit history. I think I may also suffer a little b/c of my name. Richard A Dixon II I get shit for Dixson, Dickson, Richard Dixon JR, and I am convinced that has caused some missed reporting here and there. I never did get my car loan fixed from Dixson. I just got my bank of america card changed from Jr to the II last month when I changed my address. I'm not certain that's why, but it's a hunch. From what I understand, credit card companies often just pull one report when chekcing credit. Something bigger like a house will generally pull all 3 and use the middle score. I have been turned down for credit cards in the last two years despite high 600s credit scores on 2 out of the 3, but I get solid rates on car loans and the couple of times i've done some preliminary house looking, I get reports of having great credit when they look... it's weird.

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)